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Tip of the Day Borrow No More Than 30% of Your Available Credit

Borrow No More Than 30% of Your Available Credit - You should borrow no more than 30% of your available credit each month if you wish to keep your credit...

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Fund of Funds

Definition: This is a mutual fund or hedge fund that invests in other funds rather than in individual securities.

Advice: Fund of funds are thought to be attractive because they offer greater diversification and can select the best mutual funds to invest in.

However, it's important to realize that you may be paying twice as much in expenses (the individual mutual funds and the fund of funds both likely charge fees).

 

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Definition of the Day Deferred Tax Asset

Definition: A deferred tax asset is created by overpaying taxes during a given time period.  This usually occurs as a result of timing differences based on how the company depreciates its assets.  This deferred tax asset reduces the company's tax liability in the future.Advice: Deferred tax assets are good because...

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